Paytm Share Price in Focus; RBI Imposes ₹18.76 Lakh Compounding Fee Under FEMA

One97 Communications Limited, the parent company of Paytm, has received a compounding order from the Reserve Bank of India (RBI) under the Foreign Exchange Management Act (FEMA). The order was issued on February 2, 2026, and formally disclosed to stock exchanges.  

The RBI has levied a compounding fee of ₹18.76 lakh, which the company has said it is in the process of paying. After payment, the matter will stand closed. 

Investments Linked to the Order 

The order relates to certain investments made in Little Internet Private Limited by Little Internet Singapore Pte Ltd.  

The underlying value of the transactions involved was around ₹33 crore. These transactions took place between March 2016 and June 2017, according to the regulatory filing made by the company. 

What Compounding Under FEMA Involves 

Compounding under FEMA allows companies to settle contraventions by admitting non-compliance and paying a fixed amount decided by the regulator.  

Once the fee is paid, no further proceedings are pursued for the same matter. The RBI passed the order using its powers under Sections 13 and 15 of FEMA, read with the relevant regulations. 

Impact on Financials and Operations 

The company has stated that the compounding order does not have any material impact on its financial position or daily operations.  

It also clarified that the process was used as a regulatory resolution mechanism available under FEMA, with no additional penalties or operational restrictions imposed. 

Earlier Compounding Related to Nearbuy 

Separately, the RBI had earlier compounded certain FEMA-related matters concerning Nearbuy India Private Limited.  

That compounding resulted in a fee of approximately ₹4.28 lakh and was disclosed in the company’s financial results for the quarter ended December 31, 2025. 

Read More: Paytm Share Price in Focus; Completes Fincollect Acquisition, Incorporates Payments Unit in Luxembourg! 

Paytm Share Price Performance 

As of February 4, 2026, 9:27 am, One97 Communications Limited (Paytm)  share price was trading at ₹1,190.10, a 0.10% decrease from the previous closing price. 

Conclusion 

The RBI’s order settles one set of FEMA-related issues tied to historical investment transactions. The company has acknowledged the order and confirmed that it will comply with the directions issued by the regulator. 

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